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Comcast (CMCSA) Dips More Than Broader Market: What You Should Know

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In the latest market close, Comcast (CMCSA - Free Report) reached $42.48, with a -0.38% movement compared to the previous day. This change lagged the S&P 500's 0.28% loss on the day. At the same time, the Dow lost 0.08%, and the tech-heavy Nasdaq lost 0.42%.

Shares of the cable provider witnessed a gain of 1.07% over the previous month, beating the performance of the Consumer Discretionary sector with its gain of 0.45% and underperforming the S&P 500's gain of 2.67%.

Analysts and investors alike will be keeping a close eye on the performance of Comcast in its upcoming earnings disclosure. The company's earnings report is set to go public on April 25, 2024. On that day, Comcast is projected to report earnings of $0.99 per share, which would represent year-over-year growth of 7.61%. Meanwhile, our latest consensus estimate is calling for revenue of $29.9 billion, up 0.71% from the prior-year quarter.

For the full year, the Zacks Consensus Estimates project earnings of $4.30 per share and a revenue of $124.61 billion, demonstrating changes of +8.04% and +2.5%, respectively, from the preceding year.

Any recent changes to analyst estimates for Comcast should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection has moved 0.07% higher. At present, Comcast boasts a Zacks Rank of #3 (Hold).

From a valuation perspective, Comcast is currently exchanging hands at a Forward P/E ratio of 9.92. This indicates no noticeable deviation in contrast to its industry's Forward P/E of 9.92.

One should further note that CMCSA currently holds a PEG ratio of 0.97. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Cable Television industry currently had an average PEG ratio of 0.71 as of yesterday's close.

The Cable Television industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 217, placing it within the bottom 14% of over 250 industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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